Ruto Moves to Scrap 25% Phone Import Duty as Kenyans Face High Smartphone Prices
President William Ruto has announced plans to remove the 25 per cent import duty on mobile phones, a move that could ease the cost of buying smartphones in Kenya if the proposed changes are implemented.
Ruto made the announcement during the 63rd Mashujaa Day celebrations at Kipchoge Keino Stadium in Eldoret, Uasin Gishu County, on Tuesday, October 20, 2026.
The President said the government would pursue the necessary legal and customs procedures to eliminate the duty, which was introduced under changes to the East African Community’s Common External Tariff.
“We will pursue the necessary legal and customs processes so that we remove the 25 per cent import duty on mobile phones,” Ruto stated.
He explained that mobile phones had become essential tools for everyday life rather than luxury products, particularly for young people seeking education, employment and business opportunities.
“As you all know, a mobile phone is no longer a luxury. It is a classroom, a marketplace, a bank and an office for many young Kenyans and a gateway to employment,” the Head of State said.
Ruto added that reducing the cost of smartphones would help more Kenyans participate in the digital economy, where mobile devices are increasingly used for financial transactions, online learning, communication and accessing job opportunities.
The proposed change comes after Kenya introduced a 25 per cent import duty on mobile phones from July 1, 2026, following revisions to the EAC’s Common External Tariff.
The duty increased the tax burden on imported smartphones, adding to other charges that apply when the devices enter the Kenyan market.
Imported mobile phones are also subject to a 10 per cent excise duty, 16 per cent Value Added Tax (VAT) and a 2 per cent Railway Development Levy (RDL), according to the tax breakdown cited in the original report.
The combined charges have contributed to concerns about smartphone affordability, especially among consumers who rely on relatively inexpensive devices for work, education and small businesses.
For many Kenyans, a smartphone is an important tool for accessing mobile banking services, running online businesses, applying for jobs and communicating with customers. Higher import costs can put additional pressure on buyers, particularly those working with limited budgets.
Removing the 25 per cent import duty could therefore reduce one component of the cost of bringing smartphones into the country. However, the actual reduction in retail prices would depend on how the change is implemented and how importers and retailers adjust their prices.
The proposal does not mean that all taxes on imported phones would automatically disappear. Other applicable taxes and levies would remain unless the government separately changes them.
Ruto did not announce a specific date for the proposed removal to take effect. He also did not provide details of the legal amendments or customs procedures that would be required to implement the plan.
Consequently, Kenyans hoping to buy smartphones at lower prices will have to wait for further government announcements and the formal implementation of the proposed changes.
The announcement signals the government’s intention to review a tax that has increased the cost burden on imported mobile phones, although the final impact on consumers will only become clearer once the necessary measures are confirmed.
Reported by News Hub Creator.
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